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ACCA Applied Knowledge · Business and Technology · Business organisational structure

Zeta Ltd has 400 staff in a hierarchy. A consultant recommends widening spans of control throughout the business. Which is the most likely direct result for the structure?

Widening spans of control for a fixed workforce will most likely create fewer management levels and a flatter structure, because each manager supervises more people. A taller structure with more levels results from narrowing spans, not widening them.

  1. AMore management levels and a taller structure
  2. BFewer management levels and a flatter structureCorrect
  3. CNo change in the number of levels
  4. DA move to a matrix structure

Explanation

For a given number of staff, wider spans mean each manager covers more people, so fewer managers and levels are needed. This gives a flatter structure. Narrower spans would produce a taller one, which is the opposite of this option.

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